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While a looming crisis in spectrum usage was outlined by FCC Chairman Julius Genachowski due to the increase in demand for wireless data, xG Technology has a potential solution. Chris Whiteley (News - Alert), director of business development for the company, outlined ways technology can prevent such a crisis.

In making his argument, Whiteley quoted Ed Thomas, former chief engineer at the FCC (News - Alert) in a statement. “If you look at the entire RF frequency up to 100 Ghz, and take a snapshot at any given time, you'll see that only five to ten percent of it is being used,” Whiteley said. Whitley highlighted new emerging technologies that are designed to unlock this underutilized capacity, which would free up enough RF spectrum to transform wireless-industry economics. With better receivers, transmissions will be picked up instead of producing only static.

According to Whiteley, xG Technology (News - Alert) opted to develop its first product – the xMax, mobile VoIP network – for the unlicensed 900 MHz band, which offers good range and signal penetration.

To make sure spectrum that is riddled with wireless garbage can be made into a fully functioning wireless voice and data network, xMax uses advanced radio agility and a network architecture that work cooperatively to analyze channels and adapt on the fly to avoid other transmissions.

Whiteley predicts that the move to better spectrum utilization through technology by xG and other companies will produce less expensive cellular and broadband services for consumers overall. “The end of spectrum scarcity will cause a shift from incumbents protecting spectrum assets to those best at utilizing what’s available,” Whiteley said.

xMax is the result of the company’s extensive research and development activity, a $100 million international effort that involves companies in the United States, Europe and Asia. xG’s patent portfolio now includes 50 United States and more than 100 international patents and pending patent applications. This portfolio is being developed with the goal of bringing lower-cost communications to consumers.

In June, xG announced the deployment of field testing for the xMax system. The company started deploying base stations and field testing began by local carriers. A contract with Swiss-based Treco International will enable local carriers to lease equipment instead of buying it, generating significant cuts in capital expenses.

Announced in June, xG signed a binding agreement with Townes Tele-Communications Inc., a prominent U.S. Independent Local Exchange Carrier. As part of the agreement, Townes has a limited exclusivity period within which to complete its due diligence into xG's xMax technologies and product family, including field testing, and evaluate the business opportunity offered by the deployment of xMax across the U.S. market.

Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.